Although Africa is still far behind the rest of the world in many metrics, it appears that Africa has taken the lead when it comes to cryptocurrency and the blockchain.

Africa-Based Kucoin Users Skyrocket in 2021

Cryptocurrencies have emerged as an alternative store of value in countries like Africa that are struggling with currency woes and hyperinflation. These digital currencies are becoming increasingly popular for sending remittances and cross-border payments.

In other words, cryptocurrency has real applications in Africa beyond trading. Johny Lyu is the CEO of Kucoin, one of the largest crypto exchanges in the globe. He says that many African cryptocurrency holders or users are becoming more interested in trading.

Lyu actually revealed that more African users are now trading margin or futures in written responses to questions he received via Linkedin. Lyu also explained how his company is preparing for what many consider a future trillion-dollar industry.

Below are Lyu’s responses to questions posed by Bitcoin.com News.

Bitcoin.com News (BCN): What did African users buy most this year?

Johnny Lyu (JL: BTC and ETH are the most important project for African users. Native tokens from these sector-related projects, like BLOK and DREAMS, have been added to the portfolio of African users with the growth of NFT, Games, and Metaverse. African investors have also been attracted to meme coins like DOGE, SHIB, and ELON due to market sentiment.

BCN: What does this traffic mean?

JL: Along with the increased traffic, Kucoin’s number of new African users has also seen explosive growth. This is a sign of traditional capital flowing into crypto. This is also a sign of the growing acceptance of cryptocurrency and blockchain in Africa. We believe blockchain could be the next big thing after the Internet. All countries are on the same starting line.

BCN: How has the number of users and trading volumes changed?

JL: Since the beginning of 202, both the number of African users as well as the trading volume on Kucoin have increased month by month. The October 2021 trading volume was 74% higher than the previous month and the number of new users increased by more than 200%. The exchange has shown no signs of slowing down so far.

BCN: Which products are used the most in Africa?

JL: Spot trading is the most popular option for African traders. Spot trading is the most popular trading product in November 2021 with 60% of all products. However, we are seeing a rising interest in margin trading. This reported an increase of 143% in October 2021 compared to the previous month.

By Alex Alena

Alex Alena has been the lead news writer at Cryptocurrency Updates. With a degree in communications, Matt has an uncanny ability to make the most complex subject matter easy to understand.